Beyond higher mortgage rates and the “lock-in effect,” there’s another reason many existing homeowners aren’t willing to list and move: A recent report from Clever Real Estate paints a rather gloomy picture of Baby Boomers’ retirement outlook.
As per the report, two-thirds of retired Americans (66%) say the U.S. is in a retirement crisis, with the average retiree owing $15,393 in non-mortgage debt.
The average retiree has $269,078 saved, less than half the $572,000 experts recommend, according to the report.
What’s more, 28% of retired women say they have no money saved for retirement compared to just 20% of retired men.
Moreover, 40% of retirees worry they will outlive their retirement savings — and nearly 1 in 5 say they already have (19%).
More than a third of retirees (34%) say they’re spending money faster than they expected to in retirement.
Unsurprisingly, 68% say the recent economic climate has impacted their retirement finances.
The financial outlook for baby boomers has gone from boom to bust, as climbing expenses and outstanding debts threaten to poach their nest egg, the report states.
Despite a few positive developments — a recovering economy and a cost-of-living increase for Social Security — the overwhelming majority of retirees say the government should do more to help them (80%).
Photo: Phil Hearing
